Workers who have lost their jobs or have had their hours reduced due to the impacts of COVID-19 may be eligible for the financial support provided by the benefit programs of the California Employment Development Department.
“The sudden and immense impact on jobs and Californians’ earnings due to the COVID-19 pandemic is unprecedented,” said EDD Director Sharon Hilliard in a March 20 announcement. “We know that our employment benefit programs are a critical lifeline for Californians and we are applying any and all means to ensure we process claims and issue payments as quickly as possible.”
The governor’s March 19 executive order waives the one-week unpaid waiting period so individuals can collect unemployment insurance benefits for the first week they are out of work from their job.
It will take a few weeks to process a claim before the first payment can be issued due to requirements such as checking wage records.
Unprecedented
The immense widespread impact created by COVID-19 is creating a sudden and unprecedented demand for benefits, according to EDD staff, who said the agency has employees working overtime seven days a week, asking recently retired workers to return and hiring new employees.
The demand is creating a “heavy load on our online systems,” according to EDD, which suggested those encountering issues to try later as the systems are available around the clock with some limitations in the late evenings as processed claims are forwarded for payment.
Medical Impact
- If an individual is unable to work due to being ill or a medical quarantine related to COVID-19, the worker can file a claim for Disability Insurance.
- If an individual is unable to work because he or she has to care for an ill or medically quarantined family member related to COVID-19, the worker can file a claim for Paid Family Leave.
Both types of claims require a medical certification from a treating physician or a written order from a state or local health officer. Both are part of the State Disability Insurance program, funded in part by paycheck deductions noted as “CASDI.”
Benefit amounts are based on wages earned over the past 12-18 months and range from $50 – $1,300 a week.
If an individual is not covered by the SDI program or if there is no medical certification or written order, an individual forced out of work or working reduced hours can file for unemployment benefits.
Economic Impact
- If an individual is not ill or caring for an ill or medically quarantined family member but has lost a job or has had hours reduced for reasons related to COVID-19, the worker is encouraged to file a claim for unemployment insurance benefits. That could include a parent who needs to stay home to care for dependent children due to a school closure.
Workers who are temporarily unemployed due to COVID-19 and expected to return to a job with their employer within a few weeks are not required to actively seek work each week. However, they must remain able and available and ready to work during their unemployment for each week of benefits claimed and meet all other eligibility criteria.
Benefit amounts are based on wages earned over the past 12-18 months and range from $40 – $450 a week.
Self-employed individuals may not be eligible for benefits since unemployment and state disability programs are insurance programs and either a worker or their employer has to have contributed to them in order for a worker to be covered for potential benefits. It’s possible such a worker may have past wages earned or has been misclassified. See COVID-19 Resources webpage.
Tips
Filing a claim can and should be done online whenever possible. A mobile phone can be used. For online forms, see https://www.edd.ca.gov/about_edd/coronavirus-2019.htm
To receive benefits for job loss or reduced hours as quickly as possible, workers are encouraged to select a debit card to receive payments instead of checks.
The governor’s executive order temporarily suspended the 60-day notice requirement in the WARN Act for employers to give written layoff notice to employees. The goal was to allow employers to act quickly to prevent the spread of coronavirus. The requirement to file a WARN notice of layoffs for employees, their unions, the Workforce Development Board and the top elected official where the layoff occurred has not changed.
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www.edd.ca.gov/about_edd/coronavirus- 2019/faqs/WARN.htm